E 5-8 Downstream sale of inventory Wikan Tbk acquired 80 percent ownership of Budi Tbk several years ago at book value. During 2014, Wikan Tbk sold merchandise to Budi Tbk for $1,000,000 at a gross profit of 20 percent. Budi Tbk sold 90 percent of this merchandise to outside parties. At the end of the year, Budi Tbk reported a net income of $400,000.

REQuIRED 1. Determine income from Budi Tbk for 2014.

2. Determine noncontrolling interest share for 2014.